Principal Terms of the PTCs

TIle NHB in its corporate capacity as also in its capacity as a sol trustee of the SPV Trust would issue securities in the form of Class A and Class B PTCs. The B PTCs are subordinated to Class A PTCs and act as a credit enhancement for Class A PTC holders. Only Class A PTCs are available for subscription through the issue. The Class B PTCs would be subscribed to by the HDFC itself (i.e. the originator).

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Principal Terms of the PTCs

Principal Terms of the PTCs

The return on the Class A PTCs would be in the fonn of monthly pay-outs comprising principal, repayments and interest payments. As per the scheduled repayment pattern, Class A PTCs would be redeemed fully, over the first 83 months starting from the deemed date of allotment. The actual principal repayment on Class A PTCs each months, would correlate to the principal portion of the corresponding EMI realisations from the receivables pool and the tenure of the PTCs is, hencc, subject to defaults (over and above the credit enhancements) and prepayments if any Interest would be paid each month at the pass-through rate, on the outstanding principal of the Class-A PTCs as at the beginning of that month.

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